Auto-enrolment has been rolling out for a couple of years now, first with large private sector employers, then public sector, and SMEs are in the implementation process now. So far, opt-out rates have been very low, and the government now only expects 15% of employees to opt out, rather than its initially predicted 30%.
This is very good news. The uncomfortable truth surrounding all pension reform – including unsavoury public sector pension reform – is that everyone needs to pay longer, for less in order to pay for retirement. If we’re going to navigate our way through this mess everyone needs to contribute. Continue reading